We report enhanced optical Faraday rotation in gold-coated maghemite (γ-Fe2O3) nanoparticles. The Faraday rotation spectrum measured from 480-690 nm shows a peak at about 530 nm, not present in either uncoated maghemite nanoparticles or solid gold nanoparticles. This peak corresponds to an intrinsic electronic transition in the maghemite nanoparticles and is consistent with a near-field enhancement of Faraday rotation resulting from the spectral overlap of the surface plasmon resonance in the gold with the electronic transition in maghemite. This demonstration of surface plasmon resonance-enhanced magneto-optics (SuPREMO) in a composite magnetic/plasmonic nanosystem may enable design of nanostructures for remote sensing and imaging of magnetic fields and for miniaturized magneto-optical devices.